ATI restructuring could benefit Washington Plate mill
Allegheny Technologies Inc. is making changes that entail production and employee cutbacks, but shape up as a boost for its Washington Plate mill.
The Pittsburgh-based company has announced a restructuring plan that involves breaking away from standard stainless-steel production to focus more on advanced alloys products for its aerospace and defense customers, a more profitable endeavor.
ATI, which has about 50 locations worldwide, more than 30 of them in the United States, plans to cut 400 jobs across the country. More than 100 will be in Southwestern Pennsylvania, although ATI spokeswoman Natalie Gillespie said in an email that Washington Plate, located in Canton Township, “is not targeted for job losses.”
She added that: “ATI’s operations at Washington are not affected by the actions we announced. Our Washington operation produces a variety of specialty materials, as well as stainless. Our focus on strengthening the specialty rolled products business is a positive for ATI and Washington Plate.”
A number of jobs will be lost at the Brackenridge plant in the Allegheny Valley, where the firm recently closed some of its finishing operations. ATI is upgrading its Vandergrift facility a few miles away to focus entirely on finishing specialty products.
Along with the shutdown in Brackenridge, the company plans to halt production at facilities in Louisville, Ohio; Waterbury, Conn.; Bridgeview, Ill.; and Pico Rivera, Calif.
Bob Wetherbee, ATI’s chief executive officer, said in a call to analysts: “These actions put us on the path to become the aerospace and defense company we’re meant to be. Once completed, we’ll have a product portfolio focused exclusively on those high-value products that meet the demanding requirements we’re known for.”
The company anticipates completing the shutdowns and its transition from stainless sheet products by the end of 2021.